The credibility of the London Interbank Offered Rate,
otherwise known as LIBOR, as key benchmark rate for the financial
system has been under scrutiny of late and may have gone
unnoticed if it wasn't for the Federal Reserve.

What was pledged by supporters a few weeks ago as a
situation that could "never" occur seems almost like old news
today: Auction Rate Securities of all forms are failing at a
daily rate between 70 to 80 percent or between $15 to 25
billion.